The determination of the average electricity price will be based on the costs of electricity generation, costs of purchasing electricity transmission, distribution, retail, power system dispatch and electricity market transaction management services, costs of electricity system auxiliary services, costs of industry operation and management and other allocated costs, including only costs directly serving the production and supply of electricity by Vietnam Electricity Group (EVN), ensuring the ability to operate and supply electricity.
In the draft, some standard profit costs in calculating average electricity prices are removed from the old price calculation formula. For example, the costs of purchasing electricity and standard profit of ancillary services; costs of purchasing electricity for electricity transmission services and electricity distribution - retail services; costs of purchasing electricity system dispatching services and operating electricity market transactions...
The Government Office also cited the direction of Deputy Prime Minister Le Minh Khai, requesting the Ministry of Industry and Trade to take full responsibility for reviewing and completing the draft decision.
The Ministry of Industry and Trade will preside over the inspection and review of electricity production and business costs, with the Ministry of Finance participating as the state price management agency. If necessary, the Ministry will request EVN to hire an independent consultant to review the electricity production and business cost report of EVN and its member units.
In addition, the Ministry of Industry and Trade still maintains its views on the regulations related to the total of other costs included in the electricity price. Maintain the content of allocating exchange rates to the electricity price, "including the unallocated revaluation exchange rate difference" to ensure consistency, there is no other interpretation. With this regulation, it can be understood that the exchange rate loss calculated by the end of 2022 of about 14,700 billion VND may be included in the average electricity price, if the draft is approved.
Regarding the price adjustment mechanism, the draft proposes that when the average electricity price decreases by 1% or more compared to the current average electricity price, the electricity price will be allowed to be adjusted down accordingly. On the contrary, when the average electricity price increases by 3% or more compared to the current price, it will be allowed to be adjusted up.
In case the average electricity price needs to be adjusted to increase by 10% or more compared to the current level, affecting the macro economy, the Ministry of Industry and Trade will preside over, review, and send comments to the Ministry of Finance and relevant agencies. On that basis, report to the Prime Minister for consideration and specific comments.
The new draft retains the regulation on the minimum time for adjusting the average electricity price of 3 months from the last adjustment of the electricity price. The principle of adjusting the average electricity price is implemented on an annual basis after checking the electricity production and business costs of EVN. The average annual electricity price is considered for adjustment according to objective fluctuations and input parameters of all stages.
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